Current Pricing for Cash Customers

[Almost-New Too]

It's all in how you sell it.

I am reading these cash prices and wondered how a single individual can pay less for a repair than a large insurance company who can negotiate with the safelite/lynx systems for their best rate?

Why don't we, glass repair specialist, offer the insurance rate for the customers who wants to pay cash? Everyone knows that insurance companies are huge and they get bulk discounts on auto repairs because of their purchase power. If we said to the customer that retail/cash price is $70 + 15, however if you would like to go through your comprehensive insurance they will pay me directly with no out of pocket cost to you. When they say they still want to pay cash only, "offer" the proper/correct insurance rate to them. Customer satisfaction will be perceived by the customer as you are offering them their discounted insurance rate.

I'm curious to see if anyone out there is doing this and just to get a general feel for this approach.

[Delta Kits]

Almost-New Too,

That's how many people do it, in reality. The people that offer cheaper rates for cash than insurance are definitely in the minority.

It's a bad deal for the industry in the long run when people start trying to discount the rate that cash customers pay, while still charging insurance companies full price. When you do that, you're banking on the idea that insurance companies won't notice how much more they're paying than the guy on the street. Can't happen for long.

So, I definitely recommend Almost-New's pricing structure. Doing it any other way will just lead to insurance companies dropping their rates, or discontinuing repair coverage altogether.

[Almost-New WSR]

A-N, Too! That's my dawg, yo!

Delta Jeff, Thanks for confirming our thoughts and strategies.

It is absolutely amazing how many people in the business leave cash on the table. I would like to add that these customers will, in turn, appreciate your professional courtesy and will advertise in a good way for you. Everybody you deal with advertises for you one way or another.

Volume is one thing, longevity via quality is another.

[StarQuest]

Jeff and Almost-New Too,

I'll agree, when a insured want's to pay cash instead of running it through insurance at "no-cost" we should charge same rate but I have to ask something? Why would any insurance company be offended if you offered insured a lower cash rate not to file a claim? If you really think about this.....now the insurance company pays "zero" $$$ instead of $50-95 for a repair claim. I can't imagine one insurance company in the world being upset by saving money because customer decided to pay cash (even at at lower rate) for something that would've been covered for "free" under their policy.

In the glass replacement industry things are much different. If insured has a $100 glass deductible, 80% of glass shops will waive this charge just to get the job in. (to cover their butts, they only need $100-$125 profits per windshield replacement) Now insurance has to pay $100-$350 out of their pockets to cover the rest while insureds pay nothing! Not same as us offering to repair at lower cash price for them not to file claim.

I really don't believe that any of us providing cash discounts to insureds in repair industry have anything to do with insurance company's like State Farm pulling waived deductibles on repairs! They're just using us to make up for what the glass replacement industry robs them of daily! It's a numbers issue;)

[Delta Kits]

StarQuest,

Certainly understand your point. There are two sides though.

Sure, they're not going to be upset about not having to pay money, but when they see "going rate" for single jobs, cash, well below what they pay, they rightly should ask themselves why they are paying so much when the "going rate" is cheaper.

Now, obviously there are certain issues, like insurance billing and things that make insurance more of a hassle, which could equal higher rates, but only to a certain extent.

All i'm saying is that the more people go around discounting cash jobs, the sooner insurance companies decide that they will pay less than they currently do, which hurts our industry.

Now, again, luckily most people charge the same rate for insurance as they do for cash, so it shouldn't be too much of a problem. It's just in all of our best interests to keep it that way.

[GlassStarz]

Jeff
thats true but also untrue replacement companies have a cash price policy and a insurance price they justify it by claiming the paperwork is bothersome but I recently was quoted $220 cash to replace my 4runners windshield and I know for a fact the insurance company paid $650 man that must be some bothersome paperwork! we are just a flea on a much bigger dog

[Chips_Away_Windshield_Repair]

I have always charged $50.00-10.00-10.00 (that is a comfort zone I want to break out of), going up by $10.00-5.00-5.00 on new customers. Will stay at old prices for customers served in last 12 months for a while longer.

[fxstdi]

Does anyone have their prices published. I have mine on the back of my invoice with the disclaimer and guarantee. Just curios how you explain costs to your customer/s. Thanks

[StarQuest]

fxstdi,

Are you taking about your cash prices being published on back of invoice or insurance prices?

[BestQuality]

49 - 10 - 10

In Ca.